Whistleblower Gets New Chance to Prove False Claims Act Case

An employee was terminated three days after the ink was dry on the company’s settlement of the whistleblower case he originated under the False Claims Act. Just before the case was settled, the company asked the employee to take a drug test, but he refused.  The company fired him on these grounds. He sued for retaliation in violation of federal law alleging the drug test was a pretext.  In a case of first impression, the First Circuit reversed summary judgment in favor of the employer applying a burden-shifting framework under which the plaintiff must establish that he was engaged in conduct protected by the False Claims Act; the company knew about the conduct; and the company retaliated against the employee because of the conduct.